Investing.com– Bitcoin fell on Friday, rounding out a week of declines as crypto markets were hit by profit-taking amid increased concerns over U.S. trade tariffs and interest rates.
Focus was now squarely on upcoming nonfarm payrolls data for more cues on the U.S. economy.
Bitcoin fell 2.5% to $115,540.9 by 00:45 ET (05:45 GMT). The world’s biggest crypto was set to lose about 2% this week, as it struggled to make headway after racing to record highs in mid-July.
A major Bitcoin purchase by top corporate holder Strategy (NASDAQ:MSTR) did little to stimulate prices this week. The company also clocked stronger than expected earnings for the June quarter, although its shares showed little reaction to the news.
Bitcoin falls as tariff concerns hit risk appetite
Bitcoin’s Friday losses came after U.S. President Donald Trump on Thursday signed an order outlining trade tariffs against a slew of U.S. trading partners. The duties will take effect in seven days, slightly later than Trump’s August 1 deadline.
But markets were still seeking more clarity on the coming levies, especially given that Washington struck several last-minute trade deals with major global economies.
Trump’s tariffs have been cited as a major source of uncertainty for the Federal Reserve, which signaled earlier this week that it will keep interest rates unchanged until the inflationary effects of the tariffs become clear.
The Fed’s comments also weighed on risk appetite this week, in turn pressuring crypto markets.
While trade tariffs do not directly affect crypto, their effect on market sentiment factors into speculative assets such as Bitcoin.
Higher for longer interest rates, however, present some direct pressure on Bitcoin, given that they tend to diminish the appeal of high-risk, speculative assets.
Crypto price today: altcoins fall ahead of nonfarm payrolls
Broader crypto prices largely retreated on Friday, and were headed for steep weekly losses amid profit-taking and cooling risk appetite.
Anticipation of key nonfarm payrolls data also weighed, given that it is likely to factor into the Fed’s plans for interest rates. Any signs of the labor market remaining strong is likely to give the Fed less cause to cut interest rates soon.
Among altcoins, world no.2 crypto Ether fell 4.4% to $3,688.0, and was down 1.3% this week.
XRP fell 4.8% to $2.9914, and was nursing a 5.8% loss this week.
Solana and Cardano fell about 6% apiece, and were down between 7% and 11% for the week.
Among memecoins, Dogecoin slid 6.6%, while $TRUMP fell 5.8%. The latter was also trading down 12.4% this week.
